technical chart - weekend (5-6tth march)

Just made my first ARM purchase.



Technical Analysis:
- Arrows:
1. short return black repeating
2. large return blue repeating
3. large decline blue repeating
- At the moment, MACD is bearish
- Moving Averages are bearish and are wide which indicates no short term upwards momentum.
- We did hit 30 cents (resistance) and came back hard which is a bearish sign.
- UBS ceasing to be a substantial holder could have some impact on the price - selling pressure
- I didnt post bollinger bands but we are trailing the lower bolligner band which is bearish.
- Little volume which indicates little interest
- Upon drilling news I believe we can hit 40 cents again based onshort return black reprating average.

Okay time for some postive LOL:
- As you can see I have posted 3 resistance/ support lines. The long term support line is around 26.5 cents which we continue bouncing off. COuld this be the low before we begin to head upwards? Time will tell.
- IMO 25-28 cents is a very good short term entry.

Nonetheless, I entered at 27 as we are at the low long term price average however, if price goes lower than 26.5 then the next support level is 20 cents. Do I think it will hit 20 cents? Probably not considering the EV of this company but you cannot discount that it is a possibility. Overall, I entered as I believe we have to be pretty close to drilling at this stage and from my chart I believe that the downside is limited. IMO this share is oversold, though no news means further price decline. At these levels I would rather be in than out - Again we are just above the long term supportline and I expect a bounce similar to that first arrow in the short term.

Goodluck to all.